Council still undecided on cost of the lease
It's back to the negotiation table for the town of Jay after the council voted Monday night to not accept the current proposal from the American Legion to lease the large field it owns as part of the Bray-Hendricks Park renovation. Purchase of the property is not an option currently.
The proposal includes a $30,000 down payment from the town, then $250 a month for 50 years on a 50-year lease. The total cost of that option would be $180,000.
“I can't wrap my mind around paying a down payment plus a monthly rate when it does come to maintaining it,” said Mayor Shon Owens. “We are the ones footing the bill on all of it. We have to make sure this is a field that is going to get a lot of use.”
Discussion followed about the use of the field and if the amount being proposed would warrant it.
Councilman Josh Holloway expressed concern about the proposal.
“I still think this is taking advantage of the city,” said Holloway. “I have a hard time with it myself because we are investing almost half a million dollars into their property and then be expected to pay that kind of rent on top of it. A property that is in ill shape right now and should be repaired anyway.”
Councilwoman Jane Hayes said the amount the Legion is asking has loosely been based on the value of land in Navarre that is comparable, according to a representative of the Legion,
although Jay and Navarre are vastly different as far as real estate value.
“We are just where we are,” said Hayes. “Do we go with something they suggest? Or do we just walk away and not have a 290 (Legion baseball) field? And put a hedge so it won't look so ugly.”
An audience member spoke up and advised that it was a good deal and cited the amount of money being spent is not enough to omit the field from the renovation. Council members had mixed responses.
Councilwoman Nina Hendricks agreed.
“I'd still take a 50-year lease at that,” said Hendricks. “Fifty years from now, $250 literally will be nothing. And I think the good we will get out of it in those 50 years will be worth it. Who knows what options may become available with that land later?”
There was discussion that the population is expanding and there will be a need for a larger park to serve a larger recreational youth.
Mayor Owens asked if the town had property it could designate as a 290 field and land near the industrial park came up.
Hayes said when that land was donated by the Higdon family, there were certain requirements that came with that donation, such as it would always stay part of Jay's industrial park. She said there are several hurdles to jump through to make that happen.
Bankruptcy of the American Legion is a concern and the town would insist on a contract that allows the town first right of refusal if that were to happen, and that is a concern that would have to be worked out, according to Hayes.
“That is a concern,” said Councilman Holloway. “The whole reason why they want this much money is so that we can help them financially.”
Hendricks maintained her position that the field needs to be a part of the park.
“I still think if we are trying to focus on the outcomes, like I've said before, the best outcome for the park is to have it,” said Councilwoman Hendricks. “If we want to go back and make one more offer or try to do it. I can't imagine doing what we've been trying to do for seven or eight years without it. I think every time we go by there, we will regret it.”
Councilman Holloway said that if that field is not included, he would want to cover it up by putting a fence of something to block the view of the park.
There was discussion about how not having that field part of the park would effect the engineering and Dewberry Engineering representative Crystal Weatherington said that the planning could be modified either way without a lot of trouble and even suggested that adding it at a later date would be viable.
“You can table it, if you can't come to an agreement,” said Weatherington. “We are directing the majority of that field's storm water down Max Lane to get to smaller retention cells that we have incorporated into the parking facility. We could alleviate a lot of that by eliminating that field. But it's not tied in so much that we couldn't do that as a stand-alone project down the road.”
She said she just needs to know if the town is interested in continuing to pursue it, she can size the smaller retention ponds to eventually incorporate it into the stormwater model, or if the town is done and walks away, she can take it out, reduce those and move on.
“I'd size it to include it,” said Councilwoman Hayes. “I'd stay with that just in case.”
Weatherington said she can add it at a later phase in the timeline, assuring the council that it can be made to work.
“I would be apposed to the current offer made by the American Legion,” said Councilman Holloway.
“But we don't have to make that decision tonight if you all are meeting.” said Councilwoman Hendricks.
There was further discussion that $250 per month was not really a problem, but the $30,000 down payment was hard to agree to, especially with the amount the town will invest in the field to bring the property more value for the duration of the lease.
There were several suggestions, including one made by Mayor Owens for a 10-year lease with 15-year extensions, with it being the town's decision to get out if necessary. He said he thought the Legion will be negotiable on the down payment and Councilwoman Hayes agreed, as long as the town gets first right of refusal.
Councilwoman Hayes made a motion that Mayor Owens and Town Operations Manager Eric Seib go back to the Legion and expressed the council's concerns. The motion was seconded by Hendricks and carried anonymously.
